Well this is the latest news doing the rounds, which is in a way all the more surprising because Jagan is touted to be a rich man but again there is no rule that his party which never tasted power in last five years should be sound and rich! YSR Congress had recently announced that it will be withdrawing from contesting the GHMC elections. The party's Telangana President, Ponguleti Srinivasa Reddy had hinted indirectly that funds crunch is one of the reasons for the decision. Srinivas Reddy added that since TRS is in power in Telangana, TDP in AP and BJP at center while Congress is ruling in neighbouring Karnataka they were able to manage funds for the contest.
But he expressed that YSR Congress cannot manage such huge expenses and hence they have no option but to back out. However with Jagan being the richest man among both Telugu states many feel that it is strange he could not fund these election expenses of his own unit. May be Jagan would have felt it of no use to spend money on YSR Congress for its Telangana wing after the pitiful result of Warangal by-election. At the same time in case if YSRCP is really serious about grooming in Telangana, then GHMC elections was the best chance due to the presence of huge settlers.